A Ten-Year Level Term Insurance - Essay Example

One's coverage does not end at the 10th year but can still go on as long as you pay the premiums past the 10th year. Secondly, the term policy is convertible with no proof of one's health. In doing so, you are offered a level rate for as long as your lifetime ( Fedorowicz, 1977).

TWENTY-YEAR LEVEL TERM

A twenty-year term is beneficial for squat term protection. In case of untimely death, a huge payout is given out. The premium also pays for a home mortgage ( Fedorowicz, 1977). In case of death, the next of kin is given a lump sum of money. Also, this term caters to newly employed youths who are planning their life (Kaye, 1989). The policy is flexible, and one can renew and convert it from one policy to another policy.

Due to the flexibility, and its ability to cover a wide and the security of the ten-year level policy, it is now the most popular term in the insurance policy.